JSPL's VR Sharma Says Operating Profit To Rise In Second Half Of FY22
JSPL expects its operating profit to rise in the latter half of the ongoing fiscal. Here's why.
Jindal Steel & Power Ltd. expects its operating profit to rise in the latter half of the ongoing fiscal after the metric was weighed by raw input costs, including those of coking coal, and depletion of lower-cost iron ore inventory in the quarter ended September.
That's according to the company's Managing Director VR Sharma who told BloombergQuint in an interview that he expects coking coal prices to soften. The company plans to source almost 60% of the solid fuel from its Australian and Mozambique subsidiaries.
Sharma pegged JSPL's coal production volumes at 8-8.2 million tonnes for FY22, compared with 7.5 million tonnes in the preceding year.
JSPL didn't implement price hikes in October and November, he said, and won't do so for the rest of the ongoing quarter.
JSPL’s Q2 Results (QoQ)
Profit after tax up 2.7% to Rs 2,584 crore.
Net revenue rose 28.3% to Rs 13,612 crore.
Ebitda increased 1.2% to Rs 4,594 crore.
Net debt fell to Rs 11,164 crore compared with Rs 15,277 crore as on quarter ended June.
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